{"id":35391,"date":"2026-05-12T17:00:18","date_gmt":"2026-05-13T00:00:18","guid":{"rendered":"https:\/\/essential.construction\/news\/aecom-sees-profit-boost-from-data-centers-defense-spending\/"},"modified":"2026-05-12T17:00:18","modified_gmt":"2026-05-13T00:00:18","slug":"aecom-sees-profit-boost-from-data-centers-defense-spending","status":"publish","type":"post","link":"https:\/\/essential.construction\/news\/aecom-sees-profit-boost-from-data-centers-defense-spending\/","title":{"rendered":"AECOM sees profit boost from data centers, defense spending"},"content":{"rendered":"<p> [ad_1]<br \/>\n<\/p>\n<div>\n<div class=\"text-to-speech\">\n    <button class=\"text-to-speech__button button\"><br \/>\n        <img decoding=\"async\" class=\"text-to-speech__button__icon\" src=\"https:\/\/www.constructiondive.com\/static\/img\/play.svg?313321260226\" alt=\"-\"><br \/>\n        Listen to the article<\/p>\n<p>            <span class=\"text-to-speech__button__audio-length\">3 min<\/span><\/p>\n<p>    <\/button><\/p>\n<div class=\"text-to-speech__controls\">\n        <audio controls=\"\" class=\"js-text-to-speech\" preload=\"none\"><source src=\"https:\/\/text-to-speech.divecdn.com\/newspost\/820031\/2026-05-12_15.53.37\/aecom-profit-boost-data-center-defense-spending.wav\" type=\"audio\/mp3\"><\/source><\/audio><\/p>\n<div class=\"text-to-speech__controls__text\">\n            This audio is auto-generated. Please let us know if you have <a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/contact\/\" target=\"_blank\">feedback<\/a>.\n        <\/div>\n<\/p><\/div>\n<\/div>\n<p><span><span><span><span><span><span>AECOM\u2019s artificial intelligence investments are starting to show up on project wins.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>The Dallas-based infrastructure firm said during its <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/investors.aecom.com\/static-files\/84d34edf-9790-411f-aa00-5f21df34ffb3\" target=\"_blank\"><span><span><span><span><span><span><span>fiscal second-quarter earnings<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> call Tuesday its proprietary AI tools helped secure two large contracts worth nearly $1 billion combined. One of those contracts closed after the quarter and has not yet entered its backlog.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>\u201cWe were recently selected for a substantial recompete for a major energy client, where our proprietary AI solution was a central element of the project proposal and our competitive edge,\u201d CEO Troy Rudd said during the call. \u201cNotably, this contract includes specific mechanisms that allow us to capture value as we deploy AI to deliver greater value to our clients.&#8221;<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Executives during the call said the technology is beginning to improve win rates on large pursuits and has boosted the firm to enter markets where it previously held less exposure, including healthcare design.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>\u201cWhat we are seeing is an improved revenue opportunity as a result of the competitive advantage that we\u2019ve created,\u201d said Rudd. \u201cWe will see improved margins on those contracts.\u201d<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<figure class=\"image-right inside_story\">\n<div class=\"figure_content\">\n<div><img decoding=\"async\" alt=\"Headshot of a man with grey hair in a suit.\" data-imagemodel=\"91105\" src=\"https:\/\/imgproxy.divecdn.com\/0oNzXArM8N9tmYMHGnER1hMoPTfp0I-LU9Bho3ZtnYo\/g:ce\/rs:fit:1600:0\/Z3M6Ly9kaXZlc2l0ZS1zdG9yYWdlL2RpdmVpbWFnZS9TY3JlZW5zaG90XzIwMjAtMDktMDlfYXRfMTEuMzkuMjlfQU0ucG5n.webp\"\/><\/div>\n<\/div><figcaption class=\"inside_story_caption\">\n<p>Troy Rudd<\/p>\n<p>Permission granted by AECOM<\/p>\n<p>\u00a0<\/p>\n<\/figcaption><\/figure>\n<p><span><span><span><span><span><span>AI ranks as one of several tailwinds behind infrastructure demand, in addition to <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/news\/data-center-largest-driver-growth-construction-planning\/819879\/\" target=\"_blank\"><span><span><span><span><span><span><span>power and water<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span>, according to AECOM. The company\u2019s high-tech business is now one of its fastest-growing sectors in the U.S., according to Lara Poloni, AECOM president.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>\u201c<\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/news\/data-center-construction-power\/816764\/\" target=\"_blank\"><span><span><span><span><span><span><span>Power demand<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> continues to increase,\u201d said Poloni during the call. \u201cWe work across the entire power generation stack, and we have taken a leading position in emerging areas as well.\u201d<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Poloni highlighted nuclear fusion as a growing opportunity for the company. AECOM expects the sector to generate nine figures in net service revenue over the coming years through work with Type One Energy and the Tennessee Valley Authority.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<h3 class=\"standard-heading\"><span><span><span><strong><span><span>Defense spending<\/span><\/span><\/strong><\/span><\/span><\/span><\/h3>\n<p><!--\n\n<p--><span><span><span><span><span><span>Rudd also pointed to defense spending as another key growth driver.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>He said AECOM\u2019s pipeline with the U.S. Department of Defense, the firm\u2019s single largest client, climbed 50% amid a jump in global military investment. Meanwhile, more than half of the funding for the Infrastructure Investment and Jobs Act, which expires on Sept. 30, remains unspent, said Rudd.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Nevertheless, <\/span><\/span><\/span><\/span><\/span><\/span><a rel=\"nofollow noopener\" href=\"https:\/\/www.constructiondive.com\/news\/iran-war-oil-price-construction-stress\/817413\/\" target=\"_blank\"><span><span><span><span><span><span><span>geopolitical instability in the Middle East<\/span><\/span><\/span><\/span><\/span><\/span><\/span><\/a><span><span><span><span><span><span> weighed on the quarter. Executives said conflict in the region created roughly a 100-basis-point headwind to net service revenue growth and delayed some project payments. AECOM said collections in the Middle East recovered early in the fiscal third quarter.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>\u201cWe do expect the Middle East to grow quite significantly,&#8221; said Rudd. \u201cThe part that is difficult for us to forecast is sort of exactly the pace that it\u2019s going to grow in the third quarter.\u201d<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<h3 class=\"standard-heading\"><span><span><span><strong><span><span>Q2 by the numbers<\/span><\/span><\/strong><\/span><\/span><\/span><\/h3>\n<p><span><span><span><span><span><span>AECOM reported $179.86 million in profits during the fiscal second quarter, up 25.4% from the same period last year. Revenue for the firm\u2019s Q2 was $3.8 billion, up 1% from a year earlier, according to the earnings report.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Backlog reached $26.2 billion in the fiscal second quarter, up about 8% from the prior year.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>Baird, a Milwaukee-based financial services firm, highlighted the report for strong backlog numbers, especially in the U.S.<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<p><span><span><span><span><span><span>\u201cAECOM\u2019s F2Q26 results slightly beat on revenue and profits,\u201d wrote Andrew Wittmann, senior research analyst at Baird. \u201cExecution, margins, award all decent, considering. We\u2019re patient on AI-themes, but recognize much improved basis.\u201d<\/span><\/span><\/span><\/span><\/span><\/span><\/p>\n<\/p><\/div>\n<p>[ad_2]<br \/>\n<br \/><a href=\"https:\/\/www.constructiondive.com\/news\/aecom-profit-boost-data-center-defense-spending\/820031\/\" rel=\"nofollow noopener\" target=\"_blank\">This article was originally posted at Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] Listen to the article 3 min This audio is auto-generated. Please let us know if you have feedback. AECOM\u2019s &#8230; <a title=\"AECOM sees profit boost from data centers, defense spending\" class=\"read-more\" href=\"https:\/\/essential.construction\/news\/aecom-sees-profit-boost-from-data-centers-defense-spending\/\" aria-label=\"Read more about AECOM sees profit boost from data centers, defense spending\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[457],"tags":[],"class_list":["post-35391","post","type-post","status-publish","format-standard","hentry","category-construction-dive","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33"],"_links":{"self":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts\/35391","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/comments?post=35391"}],"version-history":[{"count":0,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts\/35391\/revisions"}],"wp:attachment":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/media?parent=35391"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/categories?post=35391"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/tags?post=35391"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}